California CRE News In Your Inbox.
Sign up for Connect emails to stay informed with CRE stories that are 150 words or less.
GEO Group Goes Under Contract on 770-Bed San Diego Detention Facility
The GEO Group, Inc. has entered into a purchase agreement with SDCC Middle Block, LLC, an affiliate of Holland Partners Group, to acquire the 770-bed Western Region Detention Facility located in San Diego for $60 million. GEO currently leases the San Diego Facility for approximately $5.1 million annually and has a contract with the U.S. Marshals Service for the exclusive use of the San Diego Facility.
The purchase of the San Diego facility is expected to close on July 31, and is expected to be funded as a like-kind real estate property exchange with proceeds from the previously announced sale of the GEO-owned Lawton Correctional Facility in Oklahoma.
George C. Zoley, executive chairman of GEO, said, “The San Diego Facility has provided federal detention capacity and transportation services on behalf of the U.S. Marshals Services for approximately 25 years, and we believe it is ideally suited to provide these essential services due to its proximity to the U.S. District Courthouse for the Southern District of California in downtown San Diego.”
- ◦Sale/Acquisition
